Huge rise in insolvencies

The wave of bankruptcies is rolling towards us with full force

18 percent more companies went bankrupt in Lower Austria in the first quarter of 2024. The outlook for the rest of the year is even more dramatic.

(Bild: © Markus Mainka (www.aviation-stock.de))

The economic steamroller is currently rolling mercilessly over the construction industry and the retail sector. There are still many companies in its path that are barely able to move financially. What the situation looks like in Lower Austria and why, despite better current figures, there are fears of much worse to come.

The Kreditschutzverband von 1870 (KSV) has recorded massive increases in company bankruptcies. Brigitte Dostal, head of the insolvency department, does not see the figures (see chart below) as an outlier, on the contrary. "From today's perspective, the constant increase in insolvency openings will continue. This would mean that Lower Austria will see 1,250 company bankruptcies this year," Dostal makes a gloomy forecast.